Global steel demand is expected to decline by about 1% in 2024. However, emerging economies such as India and Brazil offset the decline in global steel demand, with India's demand increasing by 11%.

According to the CRISIL report, India's steel demand will be affected by steel-intensive construction activities and industries such as engineering and packaging and is therefore expected to grow by 8-9% in 2025. In addition, global steel demand is expected to increase slightly by 0.5-1.5% in 2025, but the impact will vary by region.

India's steel minister said that they had initiated the imposition of a 25% safeguard duty on steel imports ahead of schedule due to concerns about cheap steel imports from China, which may increase local prices by 4-6% in the first half of 2025.

As new capacity comes online, production is expected to increase, leading to increased supply. However, fierce competition for market share among factories may limit price increases.